IRS Reopens ERC Voluntary Disclosure Program: A Second Chance to Correct Claims
The IRS has reopened its Employee Retention Credit (ERC) Voluntary Disclosure Program, offering businesses a crucial opportunity to rectify improper claims. Running until November 22, 2024, this program focuses on 2021 tax periods, allowing companies to repay only 85% of incorrectly claimed credits. This initiative provides significant benefits: participants avoid future audits, penalties, and interest, while retaining 15% of the claimed amount. The program aims to ease the financial burden on businesses while promoting voluntary compliance. To participate , employers must file Form 15434. Installment agreements are available for those facing financial constraints. The IRS also offers an ERC Eligibility Checklist to help businesses determine their qualification. For businesses using third-party payroll services, ensuring proper filing is crucial. Additionally, companies can withdraw pending ERC claims to avoid potential penalties. SAI CPA Services stands...